The Latin American and Caribbean (LAC) region has significantly increased its issuance of Green, Social, Sustainability, and Sustainability-Linked (GSSS) bonds, growing from 9.3% of total bond issuance in 2020 to almost 35% in 2023. The share of GSSS in sovereign bonds also rose markedly from 36% in 2022 to 50% in 2023. LAC countries are at the forefront globally in Sustainability-Linked Bond (SLB) issuance, leveraging innovative structures to attract a wider pool of investors. However, effective supervision and regulation of GSSS issuances remain a critical challenge: enhanced oversight is needed through sustainable finance frameworks. While the market in LAC has evolved from self-labelling to adopting external reviews, further improvements in pre- and post-issuance evaluations are necessary to ensure meaningful impacts on sustainable and inclusive development. Additionally, harmonising and interoperating national sustainable taxonomies across LAC countries is key to boosting regional and international investor interest.